Chairperson Lee Eog-weon of the Financial Services Commission said on the 27th that he is reviewing the introduction of a "compensation clawback system (clawback)" to reclaim executives' bonuses when financial accidents occur.
The Chairperson appeared at the National Policy Committee's parliamentary audit that day and responded this way to a remark by Lee Heon-seung of the People Power Party that "while financial accidents have surged, employees' performance bonuses have increased sharply."
The Chairperson said, "We are devising various measures to clearly define internal control responsibilities through a responsibility map and to curb the pursuit of short-term revenue in terms of performance bonuses," adding, "We will also review a system to claw back performance pay already paid if a financial company incurs losses due to business conduct."
Lee said, "We will review measures to establish a fair and transparent compensation framework in the financial sector."
Representative Lee said, "What is needed is active guidance and supervision by the financial authorities so we can shift from the principle of 'if you earn more, you take more' to the approach of 'you take only when you earn it safely and responsibly.'"